Stronger Together: Strengthening Communities Through Partnership and Purpose

last updated on Tuesday, June 10, 2025 in Affordable Housing

Unfortunately, purchasing an affordable home can seem close to impossible for many low- to moderate income Minnesotans. An expensive housing market has made it difficult to find safe and affordable housing.

For nearly 40 years, Twin Cities Habitat for Humanity® (Twin Cities Habitat) has helped more than 1,900 families win this struggle. Twin Cities Habitat is committed to doing more than building decent and affordable homes. They assist first-time home buyers finance their home through their mortgage company, Twin Cities Habitat for Humanity® Lending Inc. (TCHFH Lending). The program provides down payment assistance, closing costs and reasonable low-interest mortgages.

“We are a large Habitat but we can’t build and rehab enough homes to meet the huge need for affordable homes in our community,” says Robyn Bipes-Timm, president of TCHFH Lending. “We became a Community Development Finance Institution (CDFI) so we could access new types of funding to support our mortgage and down payment assistance programs, reduce barriers to homeownership and help even more local families buy homes they can afford.”

One source of funding TCHFH Lending can access as a CDFI is the Federal Home Loan Bank of Des Moines (FHLB Des Moines). In August of 2024, TCHFH Lending became a member of FHLB Des Moines and was able to take advantage of their new product, the Habitat for Humanity® Advance Rate Discount.

FHLB Des Moines created the Habitat for Humanity® Advance Rate Discount to help the mortgage lending capacity of Habitat for Humanity® to serve additional low- to moderate-income homeowners. This product is a 5-year, 0% rate advance to member institutions that purchase or originate below-market residential mortgage loans from Habitat affiliates and hold them for investment on their balance sheet.

“This unique product allows our members, Habitat affiliates and us to serve an even greater number of people needing a home,” says Wil Osborn, FHLB Des Moines chief business officer. “We are honored to partner with TCHFH Lending in building and maintaining communities where people can work and live safely and affordably.”

Beginning in 2024, FHLB Des Moines committed to allocate an additional 5% of its net income above and beyond the 10% statutory Affordable Housing Program (AHP) contribution to its voluntary programs. The Habitat for Humanity® Advance Rate Discount, which has provided nearly $125 million in discounted advances, is one of three voluntary programs.

Osborn continues, “Supporting affordable housing and community investment is an integral aspect of the original mission of FHLB Des Moines. We are proud that through AHP, which originated in 1990, we have awarded our members over $1 billion in AHP and down payment funds to help nearly 129,000 families and individuals."

Bipes-Timm adds, “We appreciate our partnership with FHLB Des Moines, as it helps us expand access to stable, affordable homeownership. This is a game-changer for generations of families and together we are creating a more vibrant, equitable Twin Cities.”

Read more: 2024 Impact Report 

TAGS

1. Affordable Housing Program
2. Community Investment Programs
3. Habitat for Humanity
4. Member Impact Fund
5. Partnerships